Answers 03 · Project feasibility — bankable

Investment return analysis

How does the money move, and is the project worth doing?

The problem

How does the money move, and is the project worth doing?

Every earlier question converges here: does this project pay, how much cash does it need, and when does that cash come back. It is the report a decision actually rests on — which is exactly why the quality of what feeds it matters more than the sophistication of the model.

Most feasibility templates take their own generated cost lines as settled and only let new rows be added underneath. That is backwards. The line most likely to be wrong is the one the template was most confident about — so nothing enters this model until an analyst has checked it against the evidence.

How it is produced

How this report is produced

A full development financial model built line by line — every cost item reviewed and re-derived by an analyst rather than accepted from a template, including the auto-generated ones. Its inputs are not guesses: dwelling counts come from the land division report, prices from market analysis, timing from approval evidence.

  1. Build the cost stack

    Acquisition, statutory charges, consultants, construction, finance, sales and contingency — every line reviewed and adjusted by an analyst, including the ones the model generated itself.

  2. Spread it over time

    Construction follows an S-curve rather than a straight line, equity and debt are kept separate, and interest is capitalised as it accrues.

  3. Find the peak funding requirement

    The number that decides whether the project is fundable is not total cost — it is the deepest point of the cash curve.

  4. Test it against adversity

    Prices down, costs up, programme extended — separately and together. A project that only works in the base case is not a project.

What arrives

Inside the report

  • Full cost breakdown with assumptions stated

    Every line itemised with its source and assumption stated, so any number can be traced and challenged.

  • Cash flow with equity and debt separated

    S-curve construction draw, staged drawdowns, interest capitalised as it accrues.

  • Peak funding and interest

    The deepest point of the curve, and what servicing it costs.

  • Multi-scenario sensitivity

    Movement in price, cost and programme, run as separate and combined cases.

  • Option comparison

    Schemes side by side on the same assumptions, stated in full so the numbers survive scrutiny after handover.

What it will not claim

The boundary, stated

Options are compared, never auto-ranked. The recommendation is signed by a professional, and every assumption in the model stays visible to you.

Who needs it

When this report earns its keep

Before you enquire

Questions we get asked about this report

Where do the inputs come from?

From the other reports where you have them: dwelling yield and envelopes from land division, price indicators from market analysis, programme from the approval evidence. Where an input has not been established, it is flagged as an assumption rather than presented as a finding.

Will you tell me which option is best?

Options are presented side by side and never auto-ranked. A recommendation, when you want one, is made by a named professional who will explain the reasoning — not produced by sorting a column.

Is this a lender-ready document?

It is built in the shape a lender asks questions in, and it is where those conversations usually start. A lender will still run its own credit assessment and may require a certified valuation.

Enquire about the investment return analysis

Every report is scoped to your site. Tell us the address and what you are deciding, and we will confirm scope and fees before anything starts — including if a different report should come first.

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